Berlin/Dresden, Germany, December 19, 2022 – DEMECAN, the only independent vertically-integrated cannabis company in Germany, successfully closes its current funding round. The company raised capital totaling EUR 15 million in 2022, consisting of loans and equity financing.
The funding will finance the further expansion of the company, including to increase production capacity at the facility in Ebersbach near Dresden/Saxony. Here, cannabis services, such as the processing of cannabis flower, are also offered to third parties. In addition, the expansion is part of the company’s preparations for the upcoming legalization of cannabis for recreational use. However, the company also remains active in the field of medical cannabis and is pushing ahead with research and development. Recently, the company’s cell culture laboratory at the Ebersbach site produced its first plants from tissue culture.
The investment in this funding round comes from private and institutional investors. Both existing shareholders and new investors are supporting the company in its further entrepreneurial development. Among others, Mittelständische Beteiligungsgesellschaft Sachsen (MBG) and the Swedish dedicated Cannabis fund ENEXIS AB are joining existing shareholders, including the Frankfurt-based funds Futury Growth and Futury Venture as well as btov’s Private Investor Network as investors in DEMECAN, thus participating in one of Saxony's leading start-ups’ expansion course.
"DEMECAN pursues the mission of supplying the German market with high-quality medical cannabis and contributing to the security of supply for patients. We also have the legalization of recreational cannabis in mind. The value chain of cannabis will probably have to be fully mapped in Germany. This will bring new challenges but great opportunities for us as a vertically integrated cannabis company and we are already preparing today for it" comments Jörg Sellmann, member of DEMECAN’s executive board.
MBG sees the investment in DEMECAN as an opportunity to foster a still young and future-proved German market from Saxony. “Our funding for DEMECAN makes sense in several ways. We have been following the development of the Ebersbach production facility from the very beginning. Now is the right time for us to invest. DEMECAN has exciting times ahead, as markets develop further. The demand for cannabis will keep increasing in the near future. The number of Cannabis patients is growing, and the legalization of recreational cannabis is on the way", says Markus H. Michalow, Managing Director of MBG. "We are proud to play a part in the further development of this forward-looking company here in Saxony", he continued.
About DEMECAN
DEMECAN is the only independent German company that covers the entire value chain for medical cannabis - from cultivation to processing and storage to distribution to pharmacies. The company was founded in 2017 by Dr. Adrian Fischer, Dr. Cornelius Maurer and Dr. Constantin von der Groeben with the aim of guaranteeing patients access to medical cannabis in "Made in Germany" quality. In May 2019, DEMECAN was awarded a state contract by the Federal Institute for Drugs and Medical Devices (BfArM) as the only independent German company to cultivate medical cannabis in Germany. Cultivation and further processing are carried out according to the highest pharmaceutical standards (EU-GMP) at the company's facility near Dresden. As a pharmaceutical wholesaler, DEMECAN works with cannabis producers worldwide and imports medical cannabis that meets its own high-quality standards. The DEMECAN Group is a member of the Federal Association of Pharmaceutical Cannabinoid Companies (BPC) and a supporting member of the Association of Pharmacies Supplying Cannabis (VCA e.V.).
Further Information: www.demecan.de
Press contact: press@demecan.de
